Israel signs $A53 billion gas export deal with Egypt
Prime Minister Benjamin Netanyahu announced at a joint press conference with Israeli Energy Minister Eli Cohen that Israel signed a gas export agreement with Egypt worth 112 billion shekels ($53 billion).
Netanyahu described the agreement as the country’s largest gas deal ever.
In August, Israel signed an export agreement with Chevron and its partners NewMed and Ratio to supply up to US$35 billion worth of gas from the Leviathan gas field to Egypt.
In his statement broadcast on television, Netanyahu said, “Today I approved the largest gas agreement in the history of Israel. The agreement is for 112 billion shekels.”
He added that the agreement, which was postponed due to some important problems, would help ensure stability in the region. It should ease the energy crisis in Egypt, which imports billions of dollars of liquefied natural gas because its own supply cannot meet demand.
A Chevron spokesman said the company welcomed Israel’s decision to authorize the export of natural gas from the Leviathan reserve to Egypt.
Chevron said in November that it was approaching a final investment decision to expand Israel’s Leviathan gas field on the Mediterranean coast, but was waiting for permission from Israel to export the gas to Egypt.
NewMed said in a statement that Leviathan, which has reserves of approximately 600 billion cubic meters under the agreement, will sell approximately 130 billion cubic meters of gas to Egypt until 2040 or until all contract values are met.
Egypt’s production began to decline in 2022, forcing it to abandon its goal of becoming a regional supply hub. It has increasingly turned to Israel to fill this gap.
with DPA
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